City Council To Consider Options For Addressing Budget Deficit

At the April 15 City Council meeting, council members will consider cost-cutting alternatives that would enable the City to offset its anticipated $8.2 million budget deficit for the 2009-2010 fiscal year general fund.

“Despite the budget shortfalls, we must continue to provide the highest quality services to our community,” City Manager Gregory E. Rose said. “Employee costs are the highest expenditure within the City so we’ve been working with our unions to seek a solution.”

This agenda item will include discussing options such as, but not limited to, layoffs and privatizing several operations, excluding public safety.

Employees represented by Teamsters Local 14 on Monday rejected a proposal for cost-containment measures.  The proposal included deferral of their cost of living salary adjustment, deferral of holiday payout and sick leave sell back, a hiring freeze, unpaid furlough days, and a voluntary separation package.

This would have resulted in a savings of approximately $4.4 million in the FY 2009-2010 general fund with minimal impact to their compensation.

Last week, I.A.F.F. members voted to ratify a memorandum of understanding with the City for concessions that would amount to $1.5 million in the general fund.  Another $1 million will be saved in the general fund through similar concessions by non-represented employees, including the city manager, assistant city managers, directors and assistant directors.  The City is still in discussions with the North Las Vegas Police Officers Association.

Other cost-containment measures the City has undertaken in the $202 million 2009-2010 proposed general fund budget include a hiring freeze and eliminating more than 70 vacant positions.  In late 2006, the City Council adopted cost savings of $6.9 million for the 2007-2008 budget.  Those cuts included freezing non-public safety positions, a 7% cut in supplies and services, and capital outlay.  The City Council also approved cuts for the current (2008-2009) fiscal year of $14.4 million.  Staff recommended another $1.3 million in cuts for the current fiscal year.  In the 2009-2010 budget, staff recommended a $34.3 million cut for a two-year total of $50 million in savings.

City of North Las Vegas I.A.F.F. Represented Employees

Agree To Cost-Containment Measures

The City of North Las Vegas is pleased to announce that the City and members of the International Association of Fire Fighters Local 1607 have reached a tentative agreement, pending City Council approval, on cost-containment measures affecting their contract.

“We are pleased that the I.A.F.F. represented employees chose to partner with the City during these difficult financial times,” City Manager Gregory E. Rose said.  “This puts the City in a better position to weather the economic storm, while continuing to provide the highest quality services to our community.”

I.A.F.F. members voted last week to ratify a memorandum of understanding with the City for concessions including a voluntary separation package, forgoing a 3.5% Cost of Living increase and partially deferring that increase to future years when economic conditions improve, a 50% reduction in uniform allowance, and deferring holiday banks and sick leave sell-back for the upcoming fiscal year.

“The North Las Vegas Fire Fighters Union takes great pride in its partnership with the City,” said Jeff Hurley, President, I.A.F.F. Local 1607.  “I am proud to announce that our members overwhelmingly supported and passed these measures.”

This action is one of several cost-containment measures the City has undertaken.  The 2009-2010 proposed budget includes a hiring freeze and eliminating more than 70 vacant positions.  In late 2006, the City Council adopted cost savings of $6.9 million for the 2007-2008 budget.  Those cuts included freezing non-public safety positions, a 7% cut in supplies and services, and capital outlay.  The City Council also approved cuts for the current (2008-2009) fiscal year of $14.4 million.  Staff recommended another $1.3 million in cuts for the current fiscal year.  In the 2009-2010 budget, staff recommended a $34.3 million cut for a two-year total of $50 million in savings.

“Providing excellent and uninterrupted services to our community while facing declining revenues is a challenge,” Rose said.  “Hopefully, this fiscal strategy will help the City avoid scaling back or eliminating services and save jobs.”